EURUSD Trading Plan
Introduction:
In this post, we will outline a potential trading plan for EURUSD based on recent market developments and retail trader behavior. We will take advantage of the rebalance price movement and the presence of liquidity zones, while also considering the retail trader sentiment to make informed trading decisions.
Rebalance Price and Efficiency:
Yesterday, EURUSD experienced a rebalance price movement that precisely aligned with the SellSide Buyside in Efficiency, which was created after a previous impulse wave to the downside. This presents an opportunity to anticipate a correction to the upside followed by another drop.
Retail Trader Accumulation:
It's crucial to recognize that retail traders have been accumulating long positions on EURUSD. Contrary to their sentiment, we will consider trading against this retail trend, as retail traders often act as liquidity providers. When they start shifting their positions to short, it often indicates a potential shift in market direction. We will closely monitor this shift and capitalize on it.
Key Strategy:
Awaiting Lows and Retail Response: As the price reaches the anticipated lows, we will closely observe how retail traders react. If there is a strong reaction from these lows to the upside, it is likely that retail traders will load up on long positions. This could lead to a temporary bounce in price. However, we anticipate this bounce to be short-lived, potentially resulting in a break of the lows once again.
Hourly Uptrend Confirmation: Before considering any buy positions, we will require confirmation of an hourly uptrend. This confirmation will be a critical step in ensuring that the price movement is more likely to be sustained and not just a short-term retracement.
Selling Opportunities: While the price is expected to crawl up during the morning, we will be actively looking for selling opportunities. The combination of the rebalance price movement, efficiency zones, and retail trader behavior suggests that selling from higher levels could be advantageous.
Conclusion:
In summary, our trading plan for EURUSD revolves around capitalizing on the recent rebalance price movement, identifying efficiency zones, and closely monitoring retail trader sentiment. By trading against the retail trend and strategically entering positions based on price reactions and hourly trend confirmations, we aim to position ourselves for profitable trades. Remember, the markets are dynamic, and adjustments to the plan may be necessary based on real-time developments.
Disclaimer: This trading plan is for educational purposes only and should not be considered financial advice. Trading involves risks, and it's important to conduct your own analysis and risk management before executing any trades
In this post, we will outline a potential trading plan for EURUSD based on recent market developments and retail trader behavior. We will take advantage of the rebalance price movement and the presence of liquidity zones, while also considering the retail trader sentiment to make informed trading decisions.
Rebalance Price and Efficiency:
Yesterday, EURUSD experienced a rebalance price movement that precisely aligned with the SellSide Buyside in Efficiency, which was created after a previous impulse wave to the downside. This presents an opportunity to anticipate a correction to the upside followed by another drop.
Retail Trader Accumulation:
It's crucial to recognize that retail traders have been accumulating long positions on EURUSD. Contrary to their sentiment, we will consider trading against this retail trend, as retail traders often act as liquidity providers. When they start shifting their positions to short, it often indicates a potential shift in market direction. We will closely monitor this shift and capitalize on it.
Key Strategy:
Awaiting Lows and Retail Response: As the price reaches the anticipated lows, we will closely observe how retail traders react. If there is a strong reaction from these lows to the upside, it is likely that retail traders will load up on long positions. This could lead to a temporary bounce in price. However, we anticipate this bounce to be short-lived, potentially resulting in a break of the lows once again.
Hourly Uptrend Confirmation: Before considering any buy positions, we will require confirmation of an hourly uptrend. This confirmation will be a critical step in ensuring that the price movement is more likely to be sustained and not just a short-term retracement.
Selling Opportunities: While the price is expected to crawl up during the morning, we will be actively looking for selling opportunities. The combination of the rebalance price movement, efficiency zones, and retail trader behavior suggests that selling from higher levels could be advantageous.
Conclusion:
In summary, our trading plan for EURUSD revolves around capitalizing on the recent rebalance price movement, identifying efficiency zones, and closely monitoring retail trader sentiment. By trading against the retail trend and strategically entering positions based on price reactions and hourly trend confirmations, we aim to position ourselves for profitable trades. Remember, the markets are dynamic, and adjustments to the plan may be necessary based on real-time developments.
Disclaimer: This trading plan is for educational purposes only and should not be considered financial advice. Trading involves risks, and it's important to conduct your own analysis and risk management before executing any trades
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.